India’s Tea Export Performance in FY 2024-25: A Moderate Yet Positive Growth

India, one of the world’s largest producers and exporters of tea, recorded a modest increase in its tea export volume during the financial year 2024–25. According to official data released by the Tea Board of India, tea exports from the country rose by 2.85%, reflecting consistent global demand and improving market prices. The rise in export value also highlights better price realization per kilogram, which bodes well for India’s tea industry, especially amid regional variations in export contributions.

Background

India has historically been a major global tea exporter, with regions like Assam, West Bengal, Tamil Nadu, and Kerala forming the backbone of production. The Tea Board of India, under the Ministry of Commerce and Industry, regulates and promotes tea cultivation, processing, and export. In recent years, international demand, quality improvements, and diversification into value-added products have influenced export trends.

Export Volume Growth

In FY 2024–25, India’s tea export volume increased from 250.73 million kg to 257.88 million kg, marking a 2.85% growth. This growth was largely driven by the North Indian tea-producing states, which saw an export jump of 8.15%, from 149.05 million kg to 161.20 million kg. In contrast, South Indian exports declined by 4.92%, falling from 101.68 million kg to 96.68 million kg.

Export Value and Pricing

The average export price per kg rose significantly, from Rs 258.30 in FY 2023–24 to Rs 290.97 in FY 2024–25 — a 12.65% increase. This increase in unit value suggests improved quality, favorable global pricing conditions, and better brand positioning in international markets.

Calendar Year Comparison

When analyzed by calendar year (January to December), tea exports in 2024 rose by 10.57%, reaching 256.17 million kg compared to the previous year. North India exported 155.49 million kg, while South India contributed 100.68 million kg, growing by 10.28% and 11.02% respectively. This data reflects a balanced performance despite fiscal-year fluctuations.

Significance and Implications

The rise in tea exports has implications for employment, rural income, and foreign exchange earnings. North India’s strong performance is especially significant for Assam and West Bengal, where tea cultivation is a major livelihood source. The rising export value per kg enhances revenue potential even when volume growth is moderate.